TD Economics has reported an update to the GDP predictions for 2017-2018. “Alberta is expected to move from the worst performing provincial economy in 2016 to the best in 2017 and 2018 with economic activity expanding by more than 2%.” (March 27, 2017)
Economists* are attributing a key part of the improved growth story relates to housing. More specifically residential construction is on the rise.
By 2018 Alberta and Saskatchewan are at the top of the GDP list with both provinces seeing a stronger 2017 than 2018.
Their prediction for oil prices is that it will hold at current levels until late in the year and into 2018 when prices are expected rise up to mid US$50 per barrel. This uptick in oil will have a spill over effect in boosting manufacturing, transportation and engineering construction.
Another contributing factor to the rise in spending is the reconstruction in Fort McMurray.
Overall Canada’s GDP will also be stronger in 2017 than 2018.
Reports such as these from experts, give hope to hard working Albertans! More reports like this will increases the consumer confidence and provide more stability for real estate purchasing and investing.
2017 is predicted to be a stronger year. So if you are thinking of buying or selling NOW is the time to put your plans into action. Call me for any residential real estate service you require!
* Beata Caranci, VP & Chief Economist, Michael Dolega, Director & Senior Economist, Dina Ignjatovic, Economist
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